TODAY’S DEALS: Federal Capital Partners Closes $230M FCP Fund I, and other Transactions

By Anuradha Kher, Online News EditorWashington, D.C.–Federal Capital Partners (FCP) has closed its $230 million real estate private equity fund, FCP Fund I LP. The fully discretionary fund is targeted to equity and debt investments in residential and commercial properties and land throughout the mid-Atlantic region. FCP expects to use modest leverage in the fund,…

By Anuradha Kher, Online News EditorWashington, D.C.–Federal Capital Partners (FCP) has closed its $230 million real estate private equity fund, FCP Fund I LP. The fully discretionary fund is targeted to equity and debt investments in residential and commercial properties and land throughout the mid-Atlantic region. FCP expects to use modest leverage in the fund, which will allow approximately $800 to $900 million of total investments. Concurrent with closing the fund, FCP has established a line of credit funded by a consortium of banks led by JP Morgan.”We are extremely pleased with our ability to raise capital in a difficult financial environment and appreciative of the support shown by a very sophisticated group of investors,” says FCP co-founder and partner, Esko Korhonen. Korhonen continues, “While FCP’s investment strategy in the past has been focused on acquiring under-managed and under-capitalized assets in need of repositioning and reinvestment, this format gives us tremendous flexibility to also work with existing owners and lenders who may need debt or joint venture capital in this challenging climate.”Since January of 2008, FCP has acquired three properties for an aggregate initial investment and committed renovation capital of approximately $200 million. The three projects include The Monterey, a 432-unit Class A apartment renovation in Bethesda, Md., Park Berkshire, a 598-unit value-add multifamily project in Forestville, Md. and Toledo Plaza, a 242-unit value-add project in Hyattsville, Md.Arbor Closes Five DUS Loans Totaling Over $16M Uniondale, N.Y.–Arbor Commercial Funding LLC recently closed five loans totaling $16,206,700 under the Fannie Mae DUS product line. The loans went to five properties located in the Midwest, Northeast and Southern regions of the United States. These included the following: • A $3,186,200 acquisition loan to the 100-unit Park East Apartments in Valdosta, Ga., under the Fannie Mae DUS product line. The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.24 percent. • A $2,065,800 acquisition loan to the 64-unit Park at Walkers Landing Apartments (pictured) in Magnolia, Texas, under the Fannie Mae DUS Small Loan product line. The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.25 percent. • A $6,790,700 refinance loan to the 319-unit Wellington Green MHC in Clarksville, Ind., under the Fannie Mae DUS product line. The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.48 percent. • A $2 million refinance loan to the 165-unit Sherwood Arms in Columbus Ga. under the Fannie Mae DUS product line. The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.48 percent and • A $2,164,000 refinance loan to the 29-unit Wilshire Apartments in Dorchester, Mass., under the Fannie Mae DUS product line. The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.78 percent. 17-Unit Rental Property Sells for Over $2MBellflower, Calif.–Sperry Van Ness Real Estate Services LLC has completed the sale of a 17-unit multifamily property in Bellflower, Calif. to a Los Angeles private investor for $2.1 million. Built in 1963, the community is located at 9116 Palm St.The community features eight one-bedroom/one-bath units, eight two-bedroom/1.5-bath units and one non-conforming unit. The property is 100 percent occupied with rents ranging form $895 to $1,195.